ENERGY: Sector still reporting huge profits as energy costs rise globally – Analysis
By Iain Fraser
Consultant Geopolitical Editor – Gibraltar
Despite energy costs rising for the consumer on what seems like a daily basis throughout Europe all is well in the Energy sector with Shell
, Spain’s Repsol
all reporting vast profits all benefitting from the surge in oil and gas prices that followed Russia’s invasion of Ukraine and other Geopolitical turmoil.
has reported a third-quarter profit of €9.39 billion, easing off from the previous quarter’s
record high due to weaker refining and gas trading however the Energy giant has announced plans to sharply boost its dividend by year end. Shell also extended its share repurchasing programme, announcing plans to buy €3.97 billion of stock over the next three months.
‘s cashflow in the quarter dropped sharply to €12.42 billion from €18.48 billion in the previous quarter due to a large working capital outflow of €4.17 billion as a result of changes in the value of European gas inventories.
has also raised its dividend after reporting that Q3 net profit has doubled on higher oil and gas prices driving its adjusted net profit to €1.48 billion euros in the third quarter from the same period in 2021, also prompting a dividend increase and more share buybacks.
said in a statement prompting Repsol
‘s board to raise its 2023 dividend by 11% to 0.70 euros per share and buy back 200 million shares this year, the energy company said. It also cut its debt by 2.85 billion euros during the quarter to €2.16 billion euros.
posted a sharp jump in its third quarter net profits compared to a year ago, as it joined other energy giants in its sector to have benefited from higher oil and gas prices.